CBB warns consumers, says United Investment Bank is unlicensed

MANAMA: The Central Bank of Bahrain (CBB) has warned consumers against dealing with unlicensed financial institutions that market investment in securities in the country through short messaging services (SMS), telephone calls and websites.

The latest warning comes as a result of a fraudulent unlicensed institution named United Investment Bank which claims to be a provider of asset management, brokerage and investment banking services in the kingdom.

The CBB emphasised that the above-mentioned entity is not licensed by it and that the activity of promoting financial services to residents in Bahrain falls within the scope of regulated financial services in accordance with the Central Bank of Bahrain and Financial Institutions Law of 2006.

The CBB also urged consumers to ensure the utmost care and caution, and take into consideration the risks, when investing, dealing or trading any amounts in securities or foreign exchange with any person, persons, institutions, companies or websites, including social media, and ensuring that they hold the necessary licenses from the Central Bank of Bahrain to engage in such activities.

The regulator has advised consumers to refer to the register of licensed financial institutions on the CBB website (www.cbb.gov.bh) to ensure they only deal with licensed service providers.

Source: http://www.gdnonline.com/Details/570302